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AUTOMOTIVE UPDATE

CARGO LOGISTICS CANADA First show in Montreal survives a winter storm

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www.mmdonline.com EDITOR: Emily Atkins (416) 510-5130 EAtkins@mmdonline.com CREATIVE DIRECTOR: Tim Norton (416) 510-5223 tim@newcom.ca ART DIRECTOR: Barbara Burrows PUBLISHER: Nick Krukowski (416) 510-5108 nick@ctl.ca PRODUCTION MANAGER: Kimberly Collins (416) 510-6779 kim@newcom.ca CIRCULATION MANAGER: Mary Garufi (416) 614 5831 mary@newcom.ca

NEWCOM BUSINESS MEDIA INC. President • Jim Glionna Vice-President • Joe Glionna HOW TO REACH US: MM&D (Materials Management & Distribution), established in 1956, is published six times a year by Newcom Business Media Inc. EDITORIAL AND ADVERTISING OFFICES: 80 Valleybrook Drive, Toronto, ON, M3B 2S9; Tel: (416) 442-5600; Fax (416) 510-5140. SUBSCRIBER SERVICES: To subscribe, renew your subscription or to change your address or information, contact us at 416-510-5113 or 1-866-543-7888 ext. 3258, or visit our website: www.mmdonline.com/subscribe SUBSCRIPTION PRICE PER YEAR: Canada $84.95 per year, Outside Canada $159.95 US per year. Single copy price: Canada $15.00, Outside Canada $32.65 CDN MM&D is published 6 times per year except for occasional combined, expanded or premium issues, which count as two subscription issues. ©Contents of this publication are protected by copyright and must not be reprinted in whole or in part without permission of the publisher. DISCLAIMER: This publication is for informational purposes only. You should not act on information contained in this publication without seeking specific advice from qualified professionals. MM&D accepts no responsibility or liability for claims made for any product or service reported or advertised in this issue. MM&D receives unsolicited materials, (including letters to the editor, press releases, promotional items and images) from time to time. MM&D, its affiliates and assignees may use, reproduce, publish, re-publish, distribute, store and archive such unsolicited submissions in whole or in part in any form or medium whatsoever, without compensation of any sort. PRIVACY NOTICE: From time to time we make our subscription list available to select companies and organizations whose product or service may interest you. If you do not wish your contact information to be made available, please contact us via one of the following methods: Phone: 1-800-668-2374, Fax: 416-442-2191 Email: vmoore@annexnewcom.ca Mail to: Privacy Office, 80 Valleybrook Drive, Toronto, ON M3B 2S9 Printed in Canada Publications Mail Agreement #43008019, ISSN: 0025-5343 (Print) ISSN: 1929-6460 (Digital). We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund of the Department of Canadian Heritage. MM&D is indexed in the Canadian Magazine Index by Micromedia Limited. Back copies are available in microform from Macromedia Ltd., 158 Pearl St., Toronto, ON M5H 1L3

Don’t outsource the story D

o you outsource some or all of your company’s logistics functions? Are you a logistics service provider? If you answered “yes” to either of these questions, you’ll probably enjoy reading this issue of MM&D. Not only are we pleased to present the 14th annual edition of our Third-Party Logistics Capability Guide (pages 22-30), you’ll also find a new feature this year: the results of our Canadian Outsourcing survey (page 16) that asked more than 300 distribution and supply chain professionals questions about what and how much they outsource, and what the benefits to their business are. The research provides a snapshot of the prevailing attitudes about outsourcing in this country. And the companion 3PL guide offers those looking for suppliers a chance to compare capabilities across a number of functions and regions. For our part, the MM&D team has been doing a fair amount of travelling in the past couple months. And although transportation is one of the top services outsourced according to our survey, we like to manage our own when we can. This meant that when it was time to head east to Montreal for the Cargo Logistics Canada show and conference in February, we piled our magazines, computers and trade show booth materials into a 2016 Ford Edge and headed out. Normally it’s about a five-hour drive from the GTA to Montreal on Canada’s busiest highway—the 401. We managed the trip in about 10 hours, including a couple of colleague pick-ups, and two quick gas and go stops along the way. It was the worst blizzard of this past winter. And the trip was both epic and apocalyptic. Before we were even into the worst of the storm, a scant 100 km from Toronto we encountered a pick-up truck fully engulfed in flames in the westbound lanes. We looked at each other and wondered if we were sane to continue. But press on we did, and with stellar, calm, tireless driving skills demonstrated by our publisher, Nick Krukowski, the SUV did us proud. Conditions varied from blowing snow to whiteout, with centre-bare, slushy, snow-covered and greasy tarmac—white-knuckle stuff. Here was an example where outsourcing the transportation might have been a good idea. But it wouldn’t have saved us money, and we definitely wouldn’t have a great story to tell if we had. We’re in the story-telling business, after all. Don’t forget to write and share your stories—about —about outsourcing or any supply chain concerns!

March/April 2016 Volume 61 Number ber 02 8

3PL

CAPABILITY GUIDE Automotive update Supply chain happenings in the auto industry

Modex show Material handling product finds from Atlanta

Canadian Outsourcing Research shows who does it and why

Looking for a service provider? Check here

Cover image:adventtr, iStockphoto

www.mmdonline.com | March/April 2016

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MODEX

TARIFFS

AUTOMOTIVE NEWS

M+S

The latest in material handling, p 10

Complexity costs business, p 6

Canadian auto parts makers take on the TPP, GM rewards suppliers, Ford extends with CEVA, p 8

Appointments and promotions, p 7

Supply chain smorgasbord Cargo Logistics Canada offered a topic to interest everyone By Emily Atkins

n its Eastern debut at the Palais des Congrés in Montréal this February, Cargo Logistics Canada overcame horrific weather, proving it takes more than a bad blizzard to stop logisticians from getting the job done. More than 2,000 people attended either the trade show or conference sessions or both, and 125 companies and organizations populated the busy show floor. The event was also punctuated with great networking opportunities, including an opening party and a couple “happy hour” type happenings on the show floor. Judging by the responses of conference participants and exhibitors, the show was a success. Smart things A highlight was the panel discussion on the Internet of Things and how it is changing supply chain operations. The panelists were Jui Ramaprasad, assistant professor, information systems at McGill University in Montréal, Greg Braun, co-founder and senior vice president, sales and marketing with C3 Solutions, also in Montreal, and Aaron Lalvani, senior director, business development, IoT at Blackberry, in Kitchener, Ontario. MM&D’s Emily Atkins moderated. Ramaprasad shared insights that were at least partially based on her research into online dating behaviour and how pervasive the Internet of Things is becoming in our day-to-day lives. She outlined the roles of devices—cell phones, washing machines, even lightbulbs—and the sensors embedded in them that connect them to the Internet and ultimately allow them to communicate with each other. She cited a number of facts to illustrate her point: There are more than five billion connected devices at the moment; estimates of the number that will 4

Greg Braun of C3 Solutions

IoT panel moderator Emily

MM&D publisher Nick Krukowski

presents his thoughts during

Atkins thinking up a

chats with a trade show visitor at

the Internet of Things panel.

question.

the joint MM&D and Canadian Shipper booth.

exist in 2020 range from 26 billion to 200 billion. In 2020 10.3 million connected items of clothing will be shipped, and 90 percent of cars will be connected to the Internet. What all this means is the explosion of information that we refer to as “Big Data”. Every time we use a connected device multiple data points are created, and stored. The trick will be figuring out how to leverage them. With the right analytics, there is vast potential for major social and economic change in the form of “smart” institutions like houses, buildings, hospitals, and cities. That’s where Blackberry’s Aaron Lalvani came in, describing how hardware and applications together will transform logistics operations by creating seamless asset tracking. The ability to know—securely and in real time—where transportation assets are and how they are being utilized promises to let carriers and shippers alike reap significant savings in their supply chain operations. For Greg Braun of C3 Solutions, the future for IoT applications is also bright. Several recurrent issues that face transportation providers at present can be resolved through the use of Internet-enabled devices and real-time tracking. For example, delivery non-compliance and shipment tracking together have the potential to save both time and avoid late delivery penalties. Other sessions on the conference program included: IMO mandated verification of container weights; North America’s waterways; women in supply chain; Arctic corridors and gateways; Free Trade Zones and the TPP; pharmaceutical supply chain; and the importance of rail for port productivity. The next edition of Cargo Logistics Canada is scheduled for February 8 and 9, 2017 in Vancouver, BC. MM&D | March/April 2016

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By MM&D Staff

or a relatively minimal cost in lost tax revenue, much of Canada’s complex tariff code system could be eliminated and save businesses almost $800 million per year, argues a new report from the Mowat Centre. “Import tariffs can serve important goals such as protecting strategic industries and raising significant revenues for governments,” argues the Mowat Centre’s chief economist Mike Moffatt. “But when your tariff code is a 1,569-page tome containing over 15,000 tariff items and the majority of them bring in little revenue, something isn’t working.” Part of this complexity is the result of Canada’s many different free trade agreements, which mean import duties on the same product could differ, depending on its country of origin. Another reason for this complexity is the fact that new technologies frequently don’t neatly fit existing definitions, and therefore may fall under more than one tariff item or fall under a not-so-obvious item. The report notes, for example, that in Canada’s tariff system an electric toothbrush is not correctly classified as a “toothbrush” but as an “electro-mechanical domestic appliance”, which reduces the import duty assessed on it. “In recent years, importers and Canadian authorities have been reduced to arguing over whether espresso is the same thing as coffee, or whether a toddler would smile and laugh if seated in a bouncer seat,” Moffatt said. “Is this really how we want the government and companies to spend their time?”

Moffatt analyzed how much revenue Canada collected in 2013 from each of the international subcategories Canada uses to arrange its 15,000plus tariff items. He found that Canada collected revenue from 1,578 subcategories, totalling $4.235 billion, but a mere 17 percent of these subcategories accounted for 80 percent ($3.4 billion) of the total revenues, while over 72 percent of these subcategories combined for less than six percent ($233 million) of the total revenues. “It takes a lot of effort for businesses, especially small businesses that don’t have in-house tax expertise, to navigate our tariff system and figure out what is the right duty on the product they are importing,” Moffatt noted. “If so many of our tariffs bring in so little revenue, is it really worth our while to place this burden on the businesses we want employing our workers and growing our economy?” The researcher proposes nullifying the duties imposed on at least 50 percent, and up to 90 percent, of tariff subcategories, effectively eliminating these duties. He lauded the Harper government for conducting several rounds of tariff-elimination, and especially for instituting an effective process for soliciting input from businesses and stakeholders to inform its tariff-elimination decisions. He called on the current federal government to continue both processes. Moffatt cautions that not all tariffs should be eliminated. He proposes keeping tariffs that meet one of three criteria: that they protect an economically strategic Canadian sector or industry, that they bring in significant government revenues, or that they can be used as bargaining chips in future free-trade negotiations. “Even if we only eliminate tariffs that don’t fall under any of these criteria,” Moffatt concluded. “My calculations show that we will have gotten rid of almost 90 percent of our tariffs, saving more than $800 million and a lot of productive work time for our businesses.” The Mowat Centre is an independent public policy think tank located at the School of Public Policy & Governance at the University of Toronto.

BENCHMARKS Shoppers Drug Mart presented Canada Cartage with its Carrier of the Year Award for exceptional store service, on-time performance, productivity improvement initiatives, flexibility, support of volume peaks and demands, and ongoing communication. Yale Materials Handling Corporation has received a 2015 GOOD DESIGN award for its ESC030AD three-wheel stand-up electric rider forklift. The awards, presented by the Chicago Athenaeum Museum of Architecture and Design, honour the best industrial designers and world manufacturers for design excellence. The three-wheel stand-up electric rider was selected for its ergonomics and maneuverability, which boost productivity and lower costs. 6

Lift Depot Ltd has been awarded the Hyundai Forklift North American Summit Award of Excellence for 2015 forklift sales. This is the fifth consecutive year that Lift Depot received this award. Hyundai Forklift North American president MS Kang congratulated Lift Depot president Rob Daniel for ranking as one of the top five out of more than 100 Hyundai Forklift dealers in North America for 2015. Lift Depot Ltd, headquartered in London Ontario, rents, sells and leases a wide variety of material handling equipment including forklifts (electric, propane & diesel), aerial work platforms & personnel carriers. The company also services all makes and models of material handling equipment. MM&D | March/April 2016

Photo: NancyEdmonds – iStockphoto

Scrap Canada’s complex tariff system, report suggests

SUPPLY CHAIN SCAN MOVERS + SHAKERS Christoph Atz, UPS’s managing director of Spain and Portugal, has been appointed president of UPS Canada. Michael Tierney, who began his career at UPS in 1981 and who has served as president since 2007, has retired from the company. Atz becomes the 8th president in UPS’s 40-year history in Canada. He began his UPS career in 1992, holding several finance positions, including finance manager at the UPS Europe Region office, and manager of finance and accounting for UPS Germany. CargoM, the logistics and transportation metropolitan cluster of Montreal, appointed Philippe Noël as head of development and public affairs. After five years in politics, notably as advisor to the Quebec minister of Transport, Municipal Affairs, Regions and Land Occupancy, in 2014 Noël joined the Board of Trade of Metropolitan Montreal team. Rodney Barron is the new sales and dealer development specialist at Stärke Material Handling Group. Barron brings a diverse set of skills and experience, including 30-plus years in a wide assortment of roles, varying from forklift operator and first class general machinist, to serving in sales and management as office manager, real-estate agent, and technical sales representative.

Matt Rendall

CEO of Kitchener, Ontario-based Clearpath Robotics, Matt Rendall, has been selected to join the Board of Directors for Robotic Industries Association (RIA) as one of four at-large directors. The positions were announced at RIA’s Annual General Meeting. The RIA board is composed of 22 directors who meet four times a year to plan the strategic direction of the association.

Andrew Snelgrove resigned as CFO of Clarke Inc effective March 11, 2016, in order to pursue the same position at another company. Kim Langille, Clarke’s vice-president of taxation, has been appointed interim CFO. Langille has acted in her current role since 2012 and previously acted as senior manager of taxation at Deloitte LLP. James Radous has been appointed president of UniCarriers Americas and as a corporate officer of the global UniCarriers Corporation in Tokyo, Japan. Radous appointed Tom Prusinski as senior vice-president & CFO and Eric Victor as senior vicepresident of strategic management and business operations.

We make a big deal over the tiniest items. Old Dominion’s focus on premium service means every item arrives with one of the lowest claims ratios and one of the best on-time records in the industry. OD Domestic offers: • More than 220 service centers nationwide • Competitive transit times and pricing • Proactive shipping solutions

For more information, visit odﬂ.com or call 1-800-235-5569. Old Dominion Freight Line, the Old Dominion logo, OD Household Services and Helping The World Keep Promises are service marks or registered service marks of Old Dominion Freight Line, Inc. All other trademarks and service marks identiﬁed herein are the intellectual property of their respective owners. © 2016 Old Dominion Freight Line, Inc., Thomasville, N.C. All rights reserved.

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SPECIAL REPORT: AUTOMOTIVE LOGISTICS IN THE NEWS |

Canadian auto parts makers take on TPP By MM&D Staff

n March, Flavio Volpe, president of the Automotive Parts Manufacturers Association presented a brief to the House of Commons Committee on International Trade at hearings about the Trans Pacific Partnership. The APMA is Canada’s national association representing OEM producers of parts, equipment, tools, supplies and services for the worldwide automotive industry. The Association’s members account for 90 percent of independent parts production in Canada. In 2015, automotive parts shipments were over $25 billion and the industry employed more than 81,000 people. Approximately half those people are employed by small- and medium-sized firms. Volpe began by noting that Canada was late to the TPP negotiating table, and furthermore, the auto parts manufacturers were not consulted. He characterized the talks as “mature negotiations

between two major players [the US and Japan] focused on their geopolitical interests and their own relationships with a non-party, China.” Volpe went on to point out that Canada, and reportedly Mexico, handed over negotiating obligations in automotive manufacturing rules of origin, safeguard measures and snap-backs to the US in bilateral discussions with Japan. “According to Mexican sources,” he continued, “the US and Japan concluded a bilateral agreement in April 2015 that included a reduction of automotive regional value content in auto parts at 30 percent and in finished vehicles at 45 percent, with ‘flexibility’ provisions allowing for a further reduction of 10 percent in the vehicle content number.” The NAFTA standard, upon which the most integrated and lucrative commercial supply chain in the world had been based, was 62.5 percent and 60 percent respectively, while the NAFTA partner negotiating position was 55 percent. In the interim, the APMA met with senior officials, the minister of international trade and the prime minister (Harper) in the period between the April US-Japan agreement and the July negotiating round. “None in that group either knew of the April agreement or if they did, cared to consult with industry to understand its impact. I believe firmly it was the former, not the latter,” Volpe said. This is the crux of the APMA’s issue with the TPP, Volpe asserted. “No one

GM RECOGNIZES SUPPLIERS General Motors recognized 110 of its best global suppliers during its 24th annual Supplier of the Year awards. Automotive suppliers from 17 countries received GM’s coveted Supplier of the Year award for going above and beyond GM’s requirements. “Our priorities are focused on building positive supplier relationships, bringing new, customer-centric innovations to GM, and being the OEM of choice among suppliers,” said Steve Kiefer, GM vice-president, global purchasing and supply chain. “The companies we recognize tonight not only have brought innovation, they delivered it with the quality our customers deserve.” During the event, GM debuted an Innovation award to recognize five suppliers who brought new innovations that benefit customers. Inaugural winners include Autoneum Holding AG; Delphi Automotive; Delta Electronics; Gentex Corporation; and FANUC Corporation. The Supplier of the Year and Innovation award winners are chosen by a global team of GM purchasing, engineering, quality, manufacturing, and logistics executives. Winners were selected based on performance in product purchasing, indirect purchasing, customer care and aftersales, and logistics.

CEVA AND FORD EXTEND RELATIONSHIP AT LOUISVILLE KENTUCKY PLANT Ford Motor Company has retained CEVA to provide container management, deconsolidation, metering, sequencing, transportation and inventory control for the car maker’s Louisville Assembly Plant (LAP) in Louisville, Kentucky. CEVA has served Ford LAP as a Manufacturing Support Center (MSC) provider for the past four years. CEVA will renew services to include metering, small lot logistics, return container management and just-in-time transportation to and from the plant. CEVA will also expand its services to provide sequencing to the line of various parts in colour/type order for ease of installation. CEVA will be investing in improvements to its current facilities by adding capacity in the form of an additional facility and equipment at the LAP site to better serve Ford. “It is exciting to renew and expand our manufacturing support services to Ford in Louisville. We appreciate this commitment from one of our largest global customers,” said Kerry Zielinski, CEVA’s vice-president of business development for automotive in North America. “The Automotive sector is one of CEVA’s largest and we owe our successes to operational excellence and year-over-year service improvements on Ford’s behalf.”

MM&D | March/April 2016

SUPPLY CHAIN SCAN

in a position of authority invested in industry consultation before being dealt a terrible hand by major trading partners that did not have Canadian interests at heart when they negotiated terms in our absence.” The APMA was very publicly involved in the period between the July Maui meeting and the finalization of the final agreement in October 2015. The association coordinated policy positions between its Mexican and US counterparts and wrote public letters warning of the adverse effects of the proposed terms to the chief negotiators. They also organized wide and deep industry consultations, attended and hosted meetings and calls on the impacts of specific terms, and played a strong role in trilateral and quadrilateral auto term negotiations with Canada’s NAFTA partners and Japan. The APMA believes “the rules by which Canadian, US and Mexican firms have successfully operated under for 20-plus years have been severed.” The association asserts that the new TPP final rules of origin terms allow for parts and vehicles whose vast majority is sourced in non-TPP countries to be sold tariff-free in North America. As well, dispute resolution, tariff elimination and safeguard measures are subject to Japan-US, Canada-US and Canada-Japan side agreements that are bilateral and different. The APMA fears that under these circumstances a US-Japan trade dispute that triggers a safeguard measure such as a snap-back could have an adverse effect for Canada’s automotive industry.

There is also concern about a Trade Adjustment Assistance Bill to deal with the effects of the TPP on US industry. “If history is any guide, it will contain worker training provisions, beneficial tax credits and very likely, direct assistance to US-based auto assembly,” Volpe said. “A Canadian auto parts industry that is dealing with regional value content provisions that in some cases are almost halved and a Japan-Canada tariff elimination schedule that is five years versus the Japan-US schedule of 25 years faces the real prospect of being doubly burdened by a US industry that will receive federal adjustment assistance. This will further adversely affect our transition into a post-NAFTA world.” Finally Volpe asked the new federal government to “approach ratification with caution. Official negotiation has already failed this industry in this process—the ratification process must be carefully conducted to address the shortcomings—foreseen or otherwise.”

We’re on time when time is scarce. When you need something shipped immediately, Old Dominion Expedited delivers. Our focus on premium service means every shipment arrives with one of the lowest claims ratios and one of the best on-time records in the industry. OD Expedited offers: • Next-day arrival • Delivery at a guaranteed time • Weekend Promise: guaranteed Friday to Monday delivery

For more information, visit odﬂ.com or call 1-866-637-7333. Old Dominion Freight Line, the Old Dominion logo, OD Household Services and Helping The World Keep Promises are service marks or registered service marks of Old Dominion Freight Line, Inc. All other trademarks and service marks identiﬁed herein are the intellectual property of their respective owners. © 2016 Old Dominion Freight Line, Inc., Thomasville, N.C. All rights reserved.

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On show at MODEX 2016 Material handling solutions for every DC need

Z Intelligrated featured its computerized maintenance management software (CMMS) designed for material handling systems. Known as the Intelligrated Reliability Intelligence Solution (IRIS), the software comes with implementation support, OEM maintenance expertise and a pool of relevant, reliable data. IRIS collects and analyzes system data to help plan and execute an effective preventive lifecycle maintenance program. The software can create work orders and daily maintenance schedules, maintain accurate inventory of spare parts and automatically place orders for necessary replacements and improve budgeting, reporting and tracking of key performance indicators. This helps facilitate regulatory compliance, improves lifecycle productivity and increases uptime with reduced overtime and paperwork. IRIS uses a software platform from Maintenance Connection, a technological leader in CMMS solutions.

Z Big Lift LLC believes that due to the proliferation of small store formats and the growth of ecommerce, strains to traditional fulfillment operations are occurring that require new innovative products like the J2 Joey and PDSR it showed at MODEX. “Whether at a store location, cross-dock, warehouse or in-between; new equipment is needed that is simple, capable and intuitive to operate, which is exactly what we are developing,” said Bill Pedriana, director of sales for Big Lift LLC. “With the PDSR we are providing exceptional flexibility with one piece of equipment for places like retail stores, and with the J2 we are delivering a low-level order picking vehicle suited to changes we see in fulfillment at the store level and contemporary distribution centres.” The Big Joe PDSR is an AC-powered vehicle with a 3,000-lb capacity and lift heights available up to 157 inches. Standard equipment includes power 10

steering, side-shift, integral tilt, and standard proportional controls for lift, lower, reach and retract. Options for the vehicle include several straddle and wheel options as well as a choice of three masts, a 106-inch and 126-inch twostage, and a 157-inch triple. The Big Joe J2 Joey low-level order picker features a 2,000-lb total vehicle capacity and the ability to lift 1,500-lb pallets up to 72 inches. The J2 Joey has power steering, an ergonomic mini-mast, and an industrial battery compartment as standard. Optional equipment includes a choice of guard-rail-mounted or front-mounted controls based on application needs and an overhead guard upon request.

Z Barcoding, Inc provided hands-on, live demonstrations of Bluetooth Low Energy (BLE) asset beacons at its booth. By participating in Barcoding’s “Pick to Pose” demonstration, Modex attendees were able to see how asset beacons enable “pick to light” processes. Using BLE, asset beacons allow enterprises to track physical inventory in near-real time by turning assets into tiny sensors. These sensors continuously transmit information about each item’s presence, temperature and movement so that users know the exact location of their inventory. Attendees found several mystery boxes, each containing a hat to wear in Barcoding’s photo booth. Using Barcoding’s mobile application, participants selected one of the boxes. The beacon on the corresponding box then lit up, guiding the attendee to their hat. Finally, the participant snapped a selfie wearing the hat inside the photo booth. The photo gained you admission to Barcoding’s #SupplyChainGeek Mix and Mingle on Tuesday, April 5. “Barcoding’s Modex booth is no ordinary tradeshow booth—it is a launching pad to efficiency, accuracy, and connectivity,” said Jay Steinmetz, CEO, Barcoding, Inc.

Z Caljan Rite-Hite talked about “future-proofing” your operations by investing in adaptable equipment. As an example, they demonstrated their Performer Telescopic Conveyor. This conveyor is designed to evolve as requirements change. It has a Universal Multi-Connector that allows the specs to be updated even years after the equipment was installed on-site. The company says the Caljan Performer is not only the longest telescopic conveyor available today, it is the strongest. Changing the direction of the belt makes a loading conveyor into a conveyor that can be used for unloading—or both loading and unloading. If you want the conveyor to serve multiple doors, a traversing system can be fitted enabling the whole conveyor to move between doors at the press of a button. A vacuum-driven lifting aid, ventilation, heating, lighting etc. can be added to the Telescopic Conveyor to improve the work environment for employees MM&D | March/April 2016

SUPPLY CHAIN SCAN

handling loose-loaded cargo. Even larger options, such as an operator platform lifting one or two operators up to a comfortable working height inside the container or truck, can be added. All updates–minor or major–can be carried out on site.

structure installed to a powered, moving base. Poweracks replaces conventional static aisles with one moving access aisle. This unique design combines direct access with a substantial increase in storage density. The Ranger is a high-density storage solution that automatically circulates pallets on a shuttle system by handheld remote control or a WiFi PDA device. Utilizing photocell technology, the Ranger detects and positions itself underneath a pallet, delivering and extracting pallets with a tunnel system.

Z Automation Plus, a division of CSF Incorporated,

Z Storax America | Flexspace showed high-density, mobile, industrial storage solutions aimed at: increasing storage capacity; increasing accessibility and productivity; while decreasing the facility footprint. Poweracks, the industrial mobile racking system, comprises a racking super-

has invented a new way to handle pallets, called the Pallet Return Device (PRD). The PRD is designed to operate in distribution centre pick modules and makes handling pallets (wood or plastic) safer and more efficient than current practices. As a bonus, it works without using any outside energy source such as electricity or compressed air. Currently, stacking pallets requires expensive continued on page 12

When you’re driven by details, the world is a smaller place. Old Dominion simpliﬁes global shipping by doing more than delivering freight. Our focus on premium service means every shipment arrives with one of the lowest claims ratios and one of the best on-time records in the industry. OD Global offers: • Personalized, single point of contact for status on all shipments • Nationwide Container Drayage from most major rails and ports • Direct service to or from Canada, Mexico, Puerto Rico, Alaska and Hawaii

For more information, visit odﬂ.com or call 1-800-432-6335. Old Dominion Freight Line, the Old Dominion logo, OD Household Services and Helping The World Keep Promises are service marks or registered service marks of Old Dominion Freight Line, Inc. All other trademarks and service marks identiﬁed herein are the intellectual property of their respective owners. © 2016 Old Dominion Freight Line, Inc., Thomasville, N.C. All rights reserved.

SUPPLY CHAIN SCAN

On show at MODEX 2016, CONTINUED

Z FOX IV Technologies has updated its TwinPrint automated packing slip/ shipping label system to the Mod6 version. It prints both the shipping label and a covert packing slip onto one label. This eliminates up to 60 percent of label liner waste as well as the additional costs of separate packing slips, plastic pouches, and the labour involved in preparing the packing slip. The Mod6 has a redesigned label path, which eliminates a series of rollers, to provide easier label loading and reduction of label memory. It is also easier to calibrate, and has simplified electronics and mechanics for easier servicing and maintenance. machinery or intense manual labour (movements prone to cause injury). The PRD operator lifts the pallet over a pivot point, creating a mechanical advantage to prevent the back strain associated with lifting pallets. The PRD’ has a “carriage” to help guide the empty pallets. This feature produces a perfect stack every time, eliminating the need for the fork truck driver to waste time reshaping the stack. Additionally, pallets stacked neatly one atop the other removes the hazard associated with falling pallets. A single pallet can weight anywhere from 30 to 70 pounds. The PRD incorporates a shock-absorbing device that provides a smooth transition from the load position to the unload position. In use, the operator loads the carriage. When the carriage is full, the operator simply releases the load, and lets the shockabsorbing device safely guide the stack to a vertical (unload) position. Once positioned, the pallets are rolled forward to a raised outbound location which releases them from the carriage. The operator then slides the carriage back, tilts it to the load position, and it’s ready to receive more empty pallets.

Z The Raymond Corporation unveiled a new line of polyurethane wheels and tires formulated for lift trucks running at optimum levels. The new wheels and tires include: Raymond Smoothy premium steer and drive tires and load wheels; Raymond UltraRide premium steer and drive tires; and Raymond Preferred steer and drive tires and load wheels. “Raymond’s end-to-end solution offerings have expanded with the new wheels and tires that fit a variety of warehouse environments and applications,” said John Perun, director of sales and marketing for the Raymond Parts division. Ideal for long- or high-speed runs with heavy loads, as well as for tight maneuvering, these wheels and tires can stand up to hard braking, and are resistant to flat-spotting. Raymond tires also have a variety of tread patterns. 12

Z Schmalz Inc had its box gripper for the Jumbo vacuum tube lifter on display. It’s an ergonomic aid that allows for the handling of standard smallload carriers. At an average weight of 20 kilograms per small-load carrier and 50 picks an hour, the vacuum tube lifter can transport a total load of eight tons per shift. The company also demonstrated its FXP vacuum area gripping system, which handles pieces of different shapes and sizes. Just one gripper can handle multiple pieces with a width up to 20 mm simultaneously. Because it’s lightweight, the FXP area gripper is good for use on robots.

Z JLT Mobile Computers displayed the JLT 1214P logistics computer with what they claim is a virtually unbreakable touch screen. The touch screen makes use of the latest generation Projective Capacitive Touch (PCT) technology. The capacitive touch screen provides a user experience closer to consumer devices and is protected by a 0.07 inch thick, hardened glass cover, making scratches, scuffs or even breakage unlikely. Like resistive touch screens, JLT’s rugged PCT display can be operated with gloves in different materials and thicknesses and used in wet conditions. JLT also had its VERSO+ 10 computer with logistics dock, which it claims is the industry’s fastest rugged vehicle-mount computer. Depending on the model, the device includes either the Intel Core i5 processor or dual-core Intel D2550 processor. It has a 10-inch, sunlight-readable XGA display, and measures just 9.9 x 8.1 x 1.9 inches, including cradle. The computer can be ordered with Windows 10 (with Core i5), Windows 8.1 Industry (with D2550), Windows 7 Pro or Windows Embedded Standard 7 operating systems.

Z Weber Packaging Solutions showcased their new BestCode Continuous Ink Jet (CIJ) Printers at the show. The BestCode has various new internal components designed with the latest technology to ensure reliable operation. The BestCode Series 8 can print best-by dates, lot codes, sell-by dates, expiration codes and other identifying marks and codes on industrial and consumer goods to ensure product traceability. The systems can print high-speed, noncontact, instantly dry marks and codes on a wide range of substrates, including plastic, glass, paper and more. Models include the 82 (1 or 2 lines of text up to 600 ft./min), the 86 (1, 2 or 3 lines of text up to 1,500 ft./min), and the 88 (1, 2, 3 or 4 lines of text up to 1,500 ft./min). Featuring current state-of-the-art technology, a modern continued on page 14 MM&D | March/April 2016

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SUPPLY CHAIN SCAN

On show at MODEX 2016, CONTINUED user interface and the latest communication methods, the BestCode Series 8 makes it easy to get information printed quickly and with minimum downtime.

Z Fixtureworks showed Fairlane Products rollers and bumpers. Rugged, wear-resistant and smooth, the rollers and bumpers are available in a variety of sizes, durometers, mounting options and materials. This standard product line is for machine builders and integrators who use off-the-shelf parts for their OEM designs. They can be used on conveyors, belt idlers, racks, shock cushioners, stamping die partguides and supports, sheet metal roll feeders, carts and wagons, and more. They can also be designed into machines and assembly operations.

Z Visitors to Ammeraal Beltech’s booth were able to explore belting solutions for a diverse range of materials handling applications. The company designs, manufactures, distributes and maintains

high-quality process and conveyor belts to meet the specialist needs of nearly every major industry segment—logistics, food processing, airports and baggage handling, automotive manufacturing, textile production and more. According to Marc Maisonneuve, the company’s group marketing communications manager, “Speed, efficiency and safety are key requirements in today’s logistics marketplace—in every supply chain today there is a driving need for energy saving and reduced downtime. These factors are central to our products and represent the basis for our focus on meeting the specialist terms of reference of both market segments and individual clients around the world.”

Z Muller introduced the new Raptor HPL turntable wrapping machine. The Raptor HPL now incorporates Muller’s Logo Wrap enhancement that allows users to protect pallet loads while simultaneously covering the product in branded messaging. The Raptor HPL is a heavyduty, semi-automatic turntable that can wrap up to 35 loads per hour. It can create customized wrap patterns for each unique application. In addition, patented strain gauge technology enables electronic film feed and corner compensation.

MM&D | March/April 2016

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CANADIAN

outsourcing 37.13%

WHO DOES IT, WHY, AND WHAT THEY GAIN

We review costs between ownership and outsourcing before making decisions

24.89%

37.97% Wee prefer to own/control functions in-house, but will sometimes outsource

We W prefer to outsource non- core business activities wherever possible

Inside vs Outside The split between business strategies relating to outsourcing shows 25 percent with a distinct preference for outsourcing.

38% | Ability to serve different geographic areas 22%| Ability to utilize greater range of expertise

23% | Ability to gain greater leverage on pricing 9%| Not overly reliant on any one provider

6%| Ability to compare service levels

2%| Ability to utilize different technology platforms

Why use Multiple Providers? Almost 90 percent (88%) of respondents use multiple providers for outsourcing activities. This suggests that those who outsource, really believe it provides tangible benefits. Those benefits are—in order of importance—geographical reach, access to a greater range of expertise, price leverage, can compare service levels, spreads reliance among providers, choices of technology platforms. 16

By Emily Atkins

utsourcing is big in Canada. That’s why, for the past 14 years, MM&D magazine has been producing the Third-Party Logistics Capability Guide. It’s meant to help manufacturers, retailers and any business with a need to warehouse or distribute their products to select a service provider. You’ll find the guide in this issue, starting right after this feature, on page 22. This year we’ve added something special: insights into the state of outsourcing in this country. The Survey of Canadian Third Party Logistics brings new intelligence on how many companies outsource, why and how they benefit. Demographics More than 300 respondents from across the country with logistics responsibilities ranging from local to global answered our online questionnaire. Just about every business sector was represented, with the majority being made up of 27 percent manufacturing, 36 percent service providers and 21 percent distributors. Company sizes ranged from 23 percent with revenues under $5 million, 14 percent from $5 to 15 million, 10 percent from over $15 to $30 million, 10 percent with more than $30 to $60 million, 8 percent from $60 to $100 million, 13 percent from $100 million to 500 million, 12 percent between $500 million and $2 billion, and 10 percent over $2 billion. Logistics budgets (including inbound/outbound transportation, distribution, warehousing, courier, LTL, TL, crossdocking, public warehousing etc) ranged from 16 percent with less than $100,000, 24 percent between $100,000 and $500,000, 11 percent between $500,000 and $1 million, 16 percent from $1 million to $5 million, 8 percent from $5 to $10 million, 6 percent between $10 and $20 million, and 19 percent over $20 million. In terms of total transportation costs, 69 percent spend less than 10 percent of their budget on internal resources such as a private fleet. Eight percent said they spend 11 to 20 percent, and 5 percent said they spend 21 to 30 percent. MM&D | March/April 2016

ABOUT THE SPONSOR RYDER SYSTEM, INC. is a $6.6 billion, FORTUNE 500 ® commercial fleet management, dedicated transportation, and supply chain solutions company, with operations in the U.S., Canada, Mexico, and the U.K., as well as parts of Asia. The Company, founded in 1933, operates behind the scenes, managing critical transportation and logistics functions for more than 50,000 customers, many of which make the products that consumers use every day. Ryder employs more than 33,000 people, manages a fleet of 231,900 commercial vehicles, and operates more than 40 million square feet of warehouse space. Ryder’s stock (NYSE: R) is a component of the Dow Jones Transportation Average and the Standard & Poor’s 500 Index. Ryder operates three business segments: Fleet Management Solutions, Supply Chain Solutions, and Ryder Dedicated. For more information, visit www.ryder.com.

4.22%

Have outsourced in the past but have no plans to outsource in the future

6.75%

Not currently outsourcing but considering doing so

10.55% Approach to Outsourcing

Have never outsourced and have no immediate plans to do so

11.39%

Have outsourced in the past and considering doing so again

Currently outsource some or all logistics functions and will continue to do so

67.09%

Supply Chain Challenges One motivator for outsourcing is the need to overcome supply chain challenges. We asked respondents what their biggest headaches were, and as is usually the case, costs came out on top. Interestingly, the need to enhance customer service was the second most pressing

need, followed by improving supply chain operations and expanding to international markets. Improving supply chain information, and expanding domestic markets were nearly even, followed by keeping up with logistics software.

41.02%

12.88%

7.12%

6.10%

5.42%

5.08%

4.41%

Need to reduce costs

Need to enhance customer service

Need to improve supply chain management execution

Need to expand or improve service to new international markets

Need to improve supply chain management information

Need to expand or improve service to new domestic markets

Need to keep up with logistics software technology

www.mmdonline.com | March/April 2016

CANADIAN outsourcing Reasons for Not Outsourcing Now, and Future Plans Outbound and inbound transportation are the most commonly outsourced services, and also top the list for those considering outsourcing in the future. Fully 30 percent say they have no plans to outsource in the future.

34.41% Concerned about loss of control

72.29%

63.64%

62.77% 56.28%

39.19%

30.11%

33.78%

33.77%

32.43%

30.30%

30.63%

Don’t believe costs would be reduced

18.92%

19.48%

18.02%

18.61% 12.16%

10.36%

23.66% Service levels would be jeopardized Outbound transportation

19.35% Logistics too important to outsource

Inbound transportation

Customs brokerage

Customs clearance

Freight forwarding

Warehousing

Cross-docking

Shipment consolidation/ distribution

Q Services currently outsourcing Q Services envisioned to be outsourced in five years

19.35% Customer complaints may increase

How Much is Outsourced In terms of logistics budgets, 35 percent of respondents spend up to 20 percent on outsourced services. At the other end of the spectrum, 24 percent spend between 81 and 100 percent of their logistics allocation on outsourcing.

12.90% Insufficient level of expertise available from potential outsourcing providers

7.53% Time/effort on logistics would not decrease

Concerns about loss of control and potentially poor customer service top shippers’ reasons for opting to keep operations in-house. If you group similar responses, about 54 percent believe maintaining control is important. On the customer service side, 43 percent clearly see outsourcing as a risk. 30 percent didn’t think costs would decline. 18

20.30%

15.23%

8.63%

8.12%

4.57%

5.08%

9.14%

10.66%

13.71%

Less than 10%

11%

21%

31%

41%

51%

61%

71%

81%

91%

20%

30%

40%

50%

60%

70%

80%

90%

100%

MM&D | March/April 2016

Thinking about supply chain solutions should put you to sleep. Not keep you awake.

Good supply chains are invisible. They work so well, they disappear. Which is why Ryder is the solutions provider for some of North Americaâ€™s most sophisticated and demanding supply chain operations. Let us make your logistics worries go away, so you can focus on what really matters: your business. Be Ever Better. Discover how outsourcing with us can improve your fleet management and supply chain performance at Ryder.com.

Ryder and the Ryder logo are registered trademarks of Ryder System, Inc. Copyright ÂŠ2016 Ryder System, Inc. Ever better is a trademark of Ryder System, Inc.

CANADIAN outsourcing Service has improved

Benefits of Outsourcing Contrary to the naysayers’ opinions about why they don’t outsource, the main benefits seen by those companies that do outsource are actually cost savings (29 percent see this benefit) and improved customer service (almost 32 percent see better service).

Logistics costs declined

Overall inventories declined

7.78%

7.22%

1.67%

35.50% 15.38% 8.28% 6.51% 6.51% 6.51% 3.55% 2.96% 2.37% 20

29.44%

? Other 22.22%

Logistics assets declined

Average order cycle length shortened

31.67%

Cost ‘creep’ and price increases once relationships has commenced Lack of continuous ongoing improvements and achievements in service offerings Service level commitments have not been realized Cost reductions have not been realized Lack of strategic management skills Time and effort spent on logistics not reduced

Top Concerns with Main Outsourcing Contract Since cost control is always the supply chain professional’s biggest concern, it’s no surprise that cost creep in outsourcing relationships would also be by far the most pressing issue.

Over-promising on services due to competitive pressures Control over the outsourced functions diminished Lack of consultative, knowledge-based skills

MM&D | March/April 2016

Driving the Economy: The Benefits of Shared Networks The truism that says nobody likes to share might not to be so true after all. And that’s good news for consumers and companies alike. The hottest consumer trends, from house-sharing through AirBnB to ride-sharing with Uber and Lyft, suggest people actually love to share – as long as they’re making or saving money in the process. The benefits of sharing might be new to consumers, but not for business; the supply chain industry has long perfected the practice of sharing space among multiple clients. Companies with goods to ship don’t mind sharing room on ships or in dockyards, for example, if it means access at competitive prices. These days, challenging market conditions in supply chains are putting the sharing principle to the test. Can sharing work even when space is at a premium? Logistics specialists are proving it can, and it’s more important and more highly utilized than ever before. “As consumer demands grow and the speed of business accelerates, companies in some industries are looking at opportunities to share transportation and logistics resources for greater efficiency and faster delivery,“ says Steve Sensing, President of Supply Chain Management Solutions at Ryder Systems, Inc.

“Multi-client warehousing, and sharing of trucks and drivers is helping companies meet the demands of their customers, and allowing them to work more efficiently.” Some 80% of American communities rely solely on trucks to deliver their goods, but a shortage of drivers is compounding an already tight capacity situation. Today, the industry needs 48,000 more drivers. By 2024, the shortage is projected to reach 330,000*.

With drivers in scarce supply, companies can’t afford to have empty or partially filled trucks on the road. Hence, they’re increasingly using less than truckload (LTL) arrangements to share space in trailers. 30% of companies that outsource logistics are growing their usage of load sharing*. As demand grows, logistics experts, like Ryder are positioning services to ensure their customers reap maximal benefits of sharing. “As time has changed, so have businesses. Companies are beginning to rely on each other instead of being individually focused. As this ‘shared network’ is a new phenomenon, working with a 3PL with the ability and experience to engineer and manage these networks can lead to greater success,” Sensing says. The space-sharing ethos is paying off as 3PLs minimize waste and maximize efficiency on the nation’s highways. Companies find sharing makes sense in warehouses as well. Among those that outsource logistics, 66% use warehouse services, which means a third party supplies the space and manages operations. In effect, the company shares the cost of warehousing with other firms that also use only a fraction of the space. The payoff: a 5% reduction in inventory costs for these firms**. Goodyear Tire for instance, partnered with Ryder to save $5 million on warehousing costs. Ryder employs LEAN guiding principles to maximize efficiencies, which are then passed down to customers in the form of savings. Sharing might not be for everyone but it works for many who see the value in using – and paying for – only as much as needed. Their ranks are poised to keep growing as an experienced industry leads the way. * According to the 2016 Third-Party Logistics Study ** According to the State of Logistics Report

3PL CAPABILITY GUIDE MM&D’S 14TH ANNUAL THIRD-PARTY LOGISTICS (3PL) CAPABILITY GUIDE

very year, we compile this list to provide you with information about 3PLs operating in Canada. These companies exist to provide and/ or arrange interconnected logistics services for shipper clients. They take on the work so you don’t have to. The appeal of outsourcing continues to grow. In fact, this year we are sharing with MM&D readers the results of a Canadian outsourcing

MARKETS SERVED LEGEND

OVER- MARKETS VIEW SERVED

A: Asset-Based N: Non Asset-based AN: Both

COMPANY NAME 3PL Links Inc. A52 Warehouse Inc. Accuristix Affiliated Customs Brokers Ltd./Global Logistics AGO Transportation Inc. All-Can Pro Logistics Inc. All-Connect Logistical Services Inc. AN Deringer, Inc. APL Logistics ASL Distribution Services Ltd. Axsun Inc. BCG Logistics Inc. Bison Transport Inc. Bonneau Freight Ltd. Bowden Transport Bulk Plus Logistics Canada Cartage System Cavalier Transportation Services Inc. CEVA Logistics CH Robinson Worldwide, Inc. Challenger Churchill Logistics Inc. CK Logistics Clarke Transport Inc. Cole International Inc. Comet Warehousing Confederation Freezers Consolidated Fastfrate Inc. CW Henderson Transportation Damco Day & Ross Transportation Group, The DB Schenker Delmar International Inc. DHL Global Forwarding Direct Distribution Centres - A Canada Cartage Company DN Logistics Ltd. Dominion Warehousing & Distribution Services Ltd. Ekkinox - Div. of Drakkar & Partners Inc. Erb Group of Companies, The Expeditors Canada Inc. Fargo Transportation Services Limited FedEx Trade Networks Transport & Brokerage (Canada) Inc. First Choice Logistics - Div. of Thompson Ahern Intl. Fraser Direct Logistics Ltd. Freightmate Inc.

TRANSPORTATION

CUSTOMS

Areas Se rved A sset-Ba sed ISO Cert ified Distribu tors Manufa cturing Retail Service Industri es Air Bulk Dedicate d Contr act Carr Drivers iage Expedite d Fleet Ma na g e m e nt Hazardo us Mate ri als High-Va lue Intermo dal Leasing LTL Ocean Rail Seaway Small Pa ck ag e TL ACE ACI C-TPAT FAST Licensed Custom s Brokers PIP

C: Canada N: North America G: Global

OVERVIEW LEGEND

survey. (See page 16.) The survey demonstrates the importance that shippers place on outsourcing, as well as the value and benefis they reap in their operations. While in the past shippers have tended to hire 3PLs for principally tactical activities, many now recognize the value of deeper partnerships. Indeed, many feel that more strategic relationships with

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MM&D | March/April 2016

| services 3PLs would help them cut total landed and distributed costs. In order to fully capitalize on this opportunity, you need to make sure you’re trusting your business to the right partner. This guide is meant to help you identify outsourcing partners with the capabilities to meet your specific requirements. Perhaps you need a firm that specializes in cross-border activity, or temperature-controlled shipments, or cross-docking—or all three. No matter how specific your needs, we’re willing to bet you’ll find at least one match in these pages.

WAREHOUSING

SPECIAL SERVICES

TECHNOLOGY

Carrier S election Cross-Bo rder Forw arding Inbound Logistic s Integrate d Lo Inventory gistics M a na g e ment Just-In-T ime Process Planning Product Lifecycle M a na g e Project C ment argo Service Parts Lo gistics Shipmen t Trackin g Tempera ture Con tr olled Vendor M a na g e ment Wareho using Consolid ation/D econsoli Cross-D dation ocking Distribu tion Cen tre Man Fulfillme ag e m e n nt t Location Services Pick/Pac k Sub-A ssembly Vendor M a na g e d Invento Consult ry ing Delivery -To-Hom e Delivery -To-Store Finance H uman Resourc es Import/E xport/C ustoms Insuranc e Marketi ng/Cust omer Se Pay m e n rvice t Audit/P rocessin Quality g A ssuran ce Regulato ry Comp liance Reverse Logistic s Security Services Vehicle Mainten ance Advance Shippin g Notice Docume ntation ED I Real-Tim e Invento ry Visibil RFID Ca ity pable Satellite / Wireless Commu Transpo nication rtation M a na g e m Wareho ent Syst use Man ems ag e m e n Web-Ba t System sed Ship s ment Tra cking

LOGISTICS

To use this guide, browse through the 3PLs listed alphabetically below. You’ll find the capabilities of each company indicated by bullets under the appropriate category headings. An alphabetized list of contact information for the firms starts on page 28. The guide is also published online at www.mmdonline.com. If you have any comments about this guide, or would like to apply to be included in next year’s edition, please contact MM&D’s editor, Emily Atkins, at eatkins@mmdonline.com.

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OVER- MARKETS VIEW SERVED

TRANSPORTATION

CUSTOMS

C: Canada | N: North America | G: Global

OVERVIEW LEGEND A: Asset-Based | N: Non Asset-based | AN: Both

COMPANY NAME Georgetown Terminal Warehouses Groupe Robert Highlight Motor Freight Inc. HTS Freight Logistics Hub Group Canada Hyphen Transportation Management Inc. I to I Logistics Inc. IDT Logistics IFS Logistics Ltd. ISG Transportation Inc. J.D. Smith & Sons J.P. Enterprises - Logistics Corp. Katoen Natie Canada Keele Warehousing & Logistics Kenco Logistic Services Kintetsu World Express Canada KRG Logistics Inc. KTS Logistics Inc. Kuehne + Nagel Ltd. Lake Erie Warehousing Inc. Lakeside Logistics Inc. Lantrax North America Logistics Lean Supply Solutions Inc. Lynden International Logistics Co. Maisliner Toronto Manitoulin Transport Marc Villeneuve Inc. McKenna Logistics Centres Metro Supply Chain Group Inc. Meyers Transport/MorTrans Inc/Mosaic Logistics Mighty Expedite Milgram & Company Ltd. Mosaic Logistics MTE Logistix Edmonton Inc. Muir’s Cartage - A Div. of Indis Inc. Mutual Transportation Services Inc. NFI Ontario New England Express Optivia Logistics and Warehousing Inc. Panalpina Inc. Pival International Polaris Transportation Group Porter Warehousing & Distribution Inc. ProMiles Canada Inc. Propulsion + Purolator QRC Logistics (1978) Ltd. Quik X Transportation Inc. Remco ReTrans Canada Rodair International Ltd. RTL Reliable Transportation Link Ryder Canada Saddle Creek Logistics Services Sameday Worldwide Schneider National Carriers, Canada SCI Logistics SDV Logistics Inc. Sherway Group SLH Transport Inc. Sotech Nitram Inc. Spencer/Butcher Group of Companies Starship Logistics Inc. Stonegate Logistics Tandet

Areas Se rved A sset-Ba sed ISO Cert ified Distribu tors Manufa cturing Retail Service Industri es Air Bulk Dedicate d Contr act Carr Drivers iage Expedite d Fleet Ma na g e m e nt Hazardo us Mate rials High-Va lue Intermo dal Leasing LTL Ocean Rail Seaway Small Pa ck age TL ACE ACI C-TPAT FAST Licensed Custom s Brokers PIP

MARKETS SERVED LEGEND

NA G A C NA N N A N N G A G N N A G AN NA A N A G A G AN N AN G G CN N G G A CN CN N N A C G AN G AN C G A N N A NA N G G N C C A G N CN AN NA A G A G A N AN G A C N N G NA G AN N CN AN CN AN G N G CN AN G A N AN G A N A C N G C AN CN A G N CN N CN N N N CN AN

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MM&D | March/April 2016

WAREHOUSING

SPECIAL SERVICES

TECHNOLOGY

Carrier S election Cross-Bo rder Forw arding Inbound Logistic s Integrate d Lo Inventory gistics M a na g e ment Just-In-T ime Process Planning Product Lifecycle M a na g e Project C ment argo Service Parts Lo gistics Shipmen t Trackin g Tempera ture Con tr olled Vendor M a na g e ment Wareho using Consolid ation/D econsoli Cross-D dation ocking Distribu tion Cen tre Man Fulfillme ag e m e n nt t Location Services Pick/Pac k Sub-A ssembly Vendor M a na g e d Invento Consult ry ing Delivery -To-Hom e Delivery -To-Store Finance H uman Resourc es Import/E xport/C ustoms Insuranc e Marketi ng/Cust omer Se Pay m e n rvice t Audit/P rocessin Quality g A ssuran ce Regulato ry Comp liance Reverse Logistic s Security Services Vehicle Mainten ance Advance Shippin g Notice Docume ntation ED I Real-Tim e Invento ry Visibil RFID Ca ity pable Satellite / Wireless Commu Transpo nication rtation M a na g e m Wareho ent Syst use Man e ms ag e m e n Web-Ba t System sed Ship s ment Tra cking

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www.mmdonline.com | March/April 2016

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OVER- MARKETS VIEW SERVED

TRANSPORTATION

CUSTOMS

MARKETS SERVED LEGEND

Areas Se rved A sset-Ba sed ISO Cert ified Distribu tors Manufa cturing Retail Service Industri es Air Bulk Dedicate d Contr act Carr Drivers iage Expedite d Fleet Ma na g e m e nt Hazardo us Mate ri als High-Va lue Intermo dal Leasing LTL Ocean Rail Seaway Small Pa ck age TL ACE ACI C-TPAT FAST Licensed Custom s Brokers PIP

C: Canada | N: North America | G: Global

OVERVIEW LEGEND A: Asset-Based | N: Non Asset-based | AN: Both

COMPANY NAME Tec Freight Technicolor Global Logistics TFT Global Inc. Thomas, Large and Singer Inc. Thomson Terminals Limited (Thomson Grp. of Companies) Total Logistics Group of Companies Trans Plus Logistics Inc. Transpro Freight Systems Ltd. Triage Logistics Company TST Overland Express UPS Canada UPS Supply Chain Solutions UTi Worldwide Vandegrift Canada, ULC Vanguard Delivers - A Canada Cartage Company VersaCold Logistics Services Western Canada Express / Apex Motor Express Westmark Fashion Dist. Services (aka Westmark Warehousing) Wheels Group of Companies XCD Logistics Solutions Ltd. XTL Logistics Inc.

G CN G AN C N A • CN AN N AN CN A • G N CN G AN G A G G NA G AN G AN C A G G AN • N N N AN

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Connected Logistics Simplified

:WLJPHSPaLK ILHJVUZ \W [V T YHUNL" <ZLZ )S\L[VV[O JHWHISL YLHKLYZ SPRL ZTHY[ WOVULZ [HISL[Z YV\[LYZ VY [LSLTH[PJZ KL]PJLZ" :LUZVYZ! YLHS [PTL SVJH[PVU SPNO[ L_WVZ\YL [LTWLYH[\YL HUK PTWHJ[ JV\U[LY" :PTWSL [V PTWSLTLU[! Z[HUK HSVUL VY PU[LNYH[L ^P[O L_PZ[PUN ZVM[^HYL

BeWhere Inc. is an Industrial Internet of Things (IIoT) provider of real-time information on equipment, tools and inventory. Find out more at www.bewhere.com/MMD or call us at 1-844-229-4373 26

MM&D | March/April 2016

WAREHOUSING

SPECIAL SERVICES

TECHNOLOGY

Carrier S election Cross-Bo rder Forw arding Inbound Logistic s Integrate d Lo Inventory gistics M a na g e ment Just-In-T ime Process Planning Product Lifecycle M a na g e Project C ment argo Service Parts Lo gistics Shipmen t Trackin g Tempera ture Con trolled Vendor M a na g e ment Wareho using Consolid ation/D econsoli Cross-D dation ocking Distribu tion Cen tre Man Fulfillme ag e m e n nt t Location Services Pick/Pac k Sub-A ssembly Vendor M a na g e d Inventory Consult ing Delivery -To-Hom e Delivery -To-Store Finance H uman Resourc es Import/E xport/C ustoms Insuranc e Marketi ng/Cust omer Se Pay m e n rvice t Audit/P rocessin Quality g A ssuran ce Regulato ry Comp liance Reverse Logistic s Security Services Vehicle Mainten ance Advance Shippin g Notice Docume ntation ED I Real-Tim e Invento ry Visibil RFID Ca ity pable Satellite / Wireless Commu Transpo nication rtation M a na g e m Wareho ent Syst use Man e ms ag e m e n Web-Ba t System sed Ship s ment Tra cking

LOGISTICS

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CORPORATE ON-SITE TRAINING WHY CHOOSE ON-SITE TRAINING? On-site training offers a variety of benefits to both employers and staff. In addition to cost savings and convenience, on-site training can be customized to meet different business needs. On-site training ensures consistent learning across the board from a single team to an entire organization.

WHY CHOOSE SCMAO TO PROVIDE YOUR TRAINING? Expert Instructors – Our expert instructors are leading supply chain academics and experienced practitioners who have real-world SCM experience. Our Programs – Our programs are designed to enhance skills development, professional competence and strategic perspective of SCM professionals at all levels of career progression from entry, to mid, and executive levels of functional responsibility. Our Reputation – As the leading supply chain association in Ontario, SCMAO has established a reputation for excellence in education and professional training. Over 70% of our corporate training is provided to repeat clients.

For more information on corporate training with SCMAO, please contact Carol Ship Spencer, Director, Education and Professional Programs at 416-977-7566 x2146 or csspencer@scmao.ca.

www.mmdonline.com | March/April 2016

contacts 3PL LINKS INC. Woodbridge, ON 905-850-9002 wgrossi@3pllinks.com www.3pllinks.com A52 WAREHOUSE INC. Surrey, BC 604-881-0251 kevink@a52.ca www.a52.ca ACCURISTIX Oakville, ON 905-829-9927 info@accuristix.com www.accuristix.com AFFILIATED CUSTOMS BROKERS LTD./ GLOBAL LOGISTICS Laval, QC 450-681-4555 dpaquette@affiliated.ca www.affiliated.ca AGO TRANSPORTATION INC. Montreal, QC 514-631-6663 ago@agotrans.com www.actionago.com ALL-CAN PRO LOGISTICS INC. Belleville, ON 613-966-0796 info@allcan3pl.com www.allcan3pl.com ALL-CONNECT LOGISTICAL SERVICES INC. Oakville, ON 905-847-6555 customerservice@allconnect.ca www.allconnect.ca AN DERINGER, INC. Saint Albans, VT 802-524-8110 www.anderinger.com APL LOGISTICS Etobicoke, ON 866-896-2005 inquiries@apllogistics.com www.apllogistics.com ASL DISTRIBUTION SERVICES LTD. Oakville, ON 905-829-5141 khammel@asldistribution.com www.asldistribution.com AXSUN INC. St. Hubert, QC 450-445-3003 info@axsungroup.com www.axsungroup.com BCG LOGISTICS INC. Mississauga, ON 905-238-3444 tmedeiros@bcglogistics.com www.bcglogistics.com BISON TRANSPORT INC. Winnipeg, MB 204-833-0131 ljohnston@bisontransport.com www.bisontransport.com BONNEAU FREIGHT LTD. Leamington, ON 519-326-0101 operations@bonneaufreight.com www.bonneaufreight.com 28

3PL CAPABILITY GUIDE BOWDEN TRANSPORT Whitby, ON 905-665-1940 corey@bowdentransport.com www.bowdentransport.com BULK PLUS LOGISTICS Burlington, ON 403-777-3545 ryoung@bulkplus.com www.bulkplus.com CANADA CARTAGE SYSTEM Mississauga, ON 905-564-2115 karen_hazan@canadacartage.com www.canadacartage.com CAVALIER TRANSPORTATION SERVICES INC. Bolton, ON 905-857-6981 bledson@cavalier.ca www.cavalier.ca CEVA LOGISTICS Houston, TX 800-888-4949 kathleen.norris@cevalogistics.com www.cevalogistics.com CH ROBINSON WORLDWIDE, INC. Eden Prairie, MN 800-323-7587 solutions@chrobinson.com www.chrobinson.com CHALLENGER Cambridge, ON 519-653-9770 sales@challenger.com www.challenger.com CHURCHILL LOGISTICS INC. London, ON 519-649-0008 cchurchill@churchill-logistics.com www.churchill-logistics.com CK LOGISTICS Saint-Laurent, QC 514-856-7580 info@cklogistics.ca www.cklogistics.ca CLARKE TRANSPORT INC. Brampton, ON 905-291-3000 kobrien@sales.clarketransport.com www.clarkelink.com COLE INTERNATIONAL INC. Calgary, AB 403-262-2771 nicole.gordon@cole.ca www.coleintl.com COMET WAREHOUSING Burnaby, BC 604-320-0554 comet@cometwarehousing.com www.cometwarehousing.com CONFEDERATION FREEZERS Brampton, ON 905-791-1564 www.confederationfreezers.com CONSOLIDATED FASTFRATE INC. Woodbridge, ON 905-893-2600 wyssl@fastfrate.com www.fastfrate.com CW HENDERSON TRANSPORTATION Etobicoke, ON 416-674-5826 dhardy@cwhenderson.ca www.cwhenderson.ca

DAMCO Madison, NJ 973-514-5126 www.damco.com DAY & ROSS TRANSPORTATION GROUP, THE Hartland, NB 800-561-0013 custservice@dayandrossinc.ca www.dayrossgroup.com DB SCHENKER Mississauga, ON 905-676-0676 sales.canada@dbschenker.com www.dbschenker.com/ca DELMAR INTERNATIONAL INC. Montréal, QC 514-636-8800 www.delmarcargo.com DHL GLOBAL FORWARDING Mississauga, ON 289-562-6500 michelle.walker@dhl.com www.dhl-dgf.com DIRECT DISTRIBUTION CENTRES – A CANADA CARTAGE COMPANY Mississauga, ON 877-271-0111 sales@directdistribution.ca www.directdistribution.ca DN LOGISTICS LTD. Maple Ridge, BC 604-380-3000 info@dnltd.com www.dnlltd.com DOMINION WAREHOUSING & DISTRIBUTION SERVICES LTD. Toronto, ON 416-744-2438 bdineen@godominion.com www.godominion.com EKKINOX – DIV. OF DRAKKAR & PARTNERS INC. Montréal, QC 514-917-4575 ygagnon@ekkinox.ca.com www.ekkinox.ca ERB GROUP OF COMPANIES, THE New Hamburg, ON 800-665-2653 contactus@erbgroup.com www.erbgroup.com EXPEDITORS CANADA INC. Mississauga, ON 905-290-3804 ric.condello@expeditors.com www.expeditors.com FARGO TRANSPORTATION SERVICES LIMITED Georgetown, ON 905-873-1199 jim@fargotransportation.com www.fargotransportation.com FEDEX TRADE NETWORKS TRANSPORT & BROKERAGE (CANADA) INC. Mississauga, ON 9056777382 www.ftn.fedex.com FIRST CHOICE LOGISTICS – DIV. OF THOMPSON AHERN INTERNATIONAL Mississauga, ON 905-677-3471 mjohnston@taco.ca www.taco.ca

FRASER DIRECT LOGISTICS LTD. Georgetown, ON 905-877-4411 ext. 253 lfraser@fraserdirect.ca www.fraserdirect.ca FREIGHTMATE INC. North York, ON 416-633-4331 www.freightmateinc.com GEORGETOWN TERMINAL WAREHOUSES Georgetown, ON 905-702-7084 hvisser@gtwcanada.com www.gtwcanada.com GROUPE ROBERT Boucherville, QC 800-263-0022 caroline.lacroix@robert.ca www.robert.ca HIGHLIGHT MOTOR FREIGHT INC. Concord, ON 905-761-1400 kirk@highlightmotor.com HTS FREIGHT LOGISTICS Bolton, ON 905-951-2119 dispatch@htsfreight.com www.htsfreight.com HUB GROUP CANADA Oakville, ON 905-820-2070 boneill@hubgroup.com www.hubgroup.com HYPHEN TRANSPORTATION MANAGEMENT INC. Concord, ON 905-695-3817 lisa.pierce@hyphentmi.com www.hyphentmi.com I TO I LOGISTICS INC. Mississauga, ON 905-362-1603 mdocherty@i2ilog.com www.itoilogistics.com IDT LOGISTICS Ayr, ON 519-536-7058 ghopley@idtlogistics.com IFS LOGISTICS LTD. Brampton, ON 905-453-0888 gkell@ifslogistics.ca www.ifslogistics.ca ISG TRANSPORTATION INC. Brampton, ON 905-799-1300 smckone@isgtransport.com www.isgtransport.com J.D. SMITH & SONS Vaughan, ON 905-669-8980 info@jdsmith.com www.jdsmith.com J.P. ENTERPRISES – LOGISTICS CORP. Mississauga, ON 905-949-0046 jponeill@jpent.com www.jpent.com KATOEN NATIE CANADA Mississauga, ON 905-821-0514 canada@katoennatie.com www.katoennatie.com

KEELE WAREHOUSING & LOGISTICS Brampton, ON 905-789-9991 james@keelewarehousing.com www.keelewarehousing.com KENCO LOGISTIC SERVICES Chattanooga, TN 800-758-3289 info@kencogroup.com www.kencogroup.com KINTETSU WORLD EXPRESS CANADA Mississauga, ON 905-677-8830 info@kwe.ca www.kwe.ca KRG LOGISTICS INC. Mississauga, ON 905-501-7277 kbartlet@krglogistics.com www.krglogistics.com KTS LOGISTICS INC. Vaughan, ON 866-270-7773 sales@kts.ca www.kts.ca KUEHNE + NAGEL LTD. Mississauga, ON 905-502 7776 info.canada@kuehne-nagel.com www.kuehne-nagel.com LAKE ERIE WAREHOUSING INC. Simcoe, ON 888-455-2622 jasonm@lakeeriewarehousing.com www.lakeeriewarehousing.com LAKESIDE LOGISTICS INC. Oakville, ON 905-338-4000 jeff@lakesidebesmart.com www.lakesidebesmart.com LANTRAX NORTH AMERICA LOGISTICS Surrey, BC 604-526-8729 rod@lantraxlogistics.com www.lantraxlogistics.com LEAN SUPPLY SOLUTIONS INC. Toronto, ON 416-748-8982 info@leansupplysolutions.com www.leansupplysolutions.com LYNDEN INTERNATIONAL LOGISTICS CO. Vaughan, ON 905-879-0114 salesinfo@lynden.com www.lilco.lynden.com MAISLINER TORONTO Toronto, ON 416-767-1700 noah.maislin@maisliner.com www.maisliner.com MANITOULIN TRANSPORT Mississauga, ON 905-670-8990 svalenzuela@manitoulintransport.com www.manitoulintransport.com MARC VILLENEUVE INC. Vaudreuil, QC 450-424-4616 m_villeneuve@mvilleneuve.ca www.mvilleneuve.ca MM&D | March/April 2016

contacts

3PL CAPABILITY GUIDE

MCKENNA LOGISTICS CENTRES Mississauga, ON 905-274-1234 sales@mckennalogistics.ca www.mckennalogistics.ca METRO SUPPLY CHAIN GROUP INC. Concord, ON 905-738-5577 rcranwill@metroscg.com www.metroscg.com MEYERS TRANSPORT/MORTRANS INC/ MOSAIC LOGISTICS Mississauga, ON 888-291-4442 csood@shipmts.com www.mosaiclogistics.com MIGHTY EXPEDITE Burlington, ON 905-332-9900 info@mightyexpedite.com www.mightyexpedite.com MILGRAM & COMPANY LTD. Montréal, QC 514-288-2161 sales@milgram.com www.milgram.com MOSAIC LOGISTICS Peterborough, ON 888-291-4442 gmarsh@shipmts.com www.shipmts.com MTE LOGISTIX EDMONTON INC. Edmonton, AB 780-944-9009 mteinfo@mtelogistix.com www.mtelogistix.com MUIR’S CARTAGE – A DIV. OF INDIS INC. Brampton, ON 905-494-4774 ted.brown@muirscartage.com www.gomuirs.com MUTUAL TRANSPORTATION SERVICES INC. Oakville, ON 905-339-3889 c.chapin@mutualtransportation.com www.mutualtransportation.com NFI Mississauga, ON 866-578-8956 andrew.kirkpatrick@nfiindustries.com www.nfiindustries.com ONTARIO NEW ENGLAND EXPRESS Milton, ON 905-876-3996 sales@oneforfreight.com www.onefreight.com OPTIVIA LOGISTICS AND WAREHOUSING INC. Guelph, ON 519-823-7860 scott@optvialogistics.com www.optvialogistics.com

PANALPINA INC. Mississauga, ON 905 755-4500 patrick.donalds@panalpina.com www.panalpina.com PIVAL INTERNATIONAL Dorval, QC 514-684-1600 mlabarbera@pival.com www.pival.com POLARIS TRANSPORTATION GROUP Mississauga, ON 905-671-3100 larry@polaristransport.com www.polaristransport.com PORTER WAREHOUSING & DISTRIBUTION INC. Edmonton, AB 780-453-5192 porterinfo@porterwarehousing.com www.porterwarehousing.com PROMILES CANADA INC. Bowmanville, ON 888-736-4537 info@promilescanada.com www.promilescanada.com PROPULSION + St-Colomban, QC 514-917-4575 ygagnon@propulsionplus.com PUROLATOR Mississauga, ON 905-712-1084 purologistics@purolator.com www.purolator.com QRC LOGISTICS (1978) LTD. Mississauga, ON 905-791-9004 giamonaco@qrclogistics.com www.qrclogistics.com QUIK X TRANSPORTATION INC. Mississauga, ON 905-565-8811 info@quikx.com www.quikx.com REMCO Lachine, QC 514-6351033 ext 209 jcohen@remco.ca www.remco.ca RETRANS CANADA Toronto, ON 416-213-0131 lthompson@re-trans.com www.re-transcanada.com RODAIR INTERNATIONAL LTD. Mississauga, Ontario 905-671-4655 jeff-cullen@rodair.com www.rodair.com

RTL RELIABLE TRANSPORTATION LINK Concord, ON 905-660-7766 compellingsolutions@goreliable.ca www.goreliable.ca RYDER CANADA Mississauga, ON 800-565-8495 cluzena@ryder.com www.ryder.com SADDLE CREEK LOGISTICS SERVICES Lakeland, FL 888-878-1177 sales@sclogistics.com www.sclogistics.com SAMEDAY WORLDWIDE Mississauga, ON 905-676-8960 kal.atwal@dayandrossinc.ca www.sameday.ca SCHNEIDER NATIONAL CARRIERS, CANADA Guelph, ON tumberd@schneider.com www.schneider.com SCI LOGISTICS Toronto, ON 888-755-1528 business.development@scilogistics.com www.scilogistics.com SDV LOGISTICS INC. Saint-Laurent, QC 514-956-7870 n.painchaud@sdv.ca www.sdv.com SHERWAY GROUP Mississauga, ON 416-420-3257 www.sherwaygroup.com SLH TRANSPORT INC. Kinston, ON 800-661-2146 marlena.singh@slh.ca www.slh.ca SOTECH NITRAM INC. Laval, QC 877-664-8726 ventes@sotechnitram.com www.sotechnitram.com SPENCER/BUTCHER GROUP OF COMPANIES Windsor, ON 519-944-9200 gspencer@butcherent.com www.spencerbutcher.com STARSHIP LOGISTICS INC. Georgetown, ON 800-465-7827 francisr@starshiplogistics.ca www.starshiplogistics.ca

STONEGATE LOGISTICS Mississauga, ON 905-671-9072 wayne@stonegatelogistics.com www.stonegatelogistics.com TANDET Oakville, ON 905-603-2310 lwoodruff@tandet.com www.tandet.com TEC FREIGHT Mississauga, ON 905-828-8132 info@tecfreight.com www.wesolveit4you.com TECHNICOLOR GLOBAL LOGISTICS Camarillo, CA 805-445-3093 supplychain@technicolor.com www.technicolorgloballogistics.com TFT GLOBAL INC. Tillsonburg, ON 877-220-0395 dpeat@tftglobal.com www.tftglobal.com THOMAS, LARGE AND SINGER INC. Markham, ON 905-754-3500 dsinger@tlscanada.com www.tlscanada.com THOMSON TERMINALS LIMITED (THOMSON GROUP OF COMPANIES) Toronto, ON 416-240-0897 sales@thomsongroup.com www.thomsongroup.com TOTAL LOGISTICS GROUP OF COMPANIES Vaudreuil-Dorion, QC 450-424-1700 jzeppetelli@totallogistics.com www.totallogistics.com TRANS PLUS LOGISTICS INC. Saint-Laurent, QC 514-332-5020 vincent@trans-plus.com www.trans-plus.com TRANSPRO FREIGHT SYSTEMS LTD. Milton, ON 905-693-0699 www.transprofreight.com TRIAGE LOGISTICS COMPANY Ste-Anne-de-Bellevue, QC 514-457-7667 tbrule@triagelogistics.com www.triagelogistics.com TST OVERLAND EXPRESS Mississauga, ON 905-625-7500 www.tstoverland.com

UPS CANADA Mississauga, ON 905-364-5941 svitale@ups.com www.ups.ca UPS SUPPLY CHAIN SOLUTIONS Burlington, ON 905-315-5500 marketingca@ups.com www.ups-scs.ca UTI WORLDWIDE Brampton, ON 589-562-3000 yto@go2uti.com www.go2uti.com VANDEGRIFT CANADA, ULC Toronto, ON 416-213-9093 brodgers@vandegriftinc.com www.vandegriftinc.com VANGUARD DELIVERS – A CANADA CARTAGE COMPANY Mississauga, ON 905-670-9300 karen_hazan@canadacartage.com www.vanguarddelivers.com VERSACOLD LOGISTICS SERVICES Vaughan, BC 800-563-2653 sales@versacold.com www.versacold.com WESTERN CANADA EXPRESS / APEX MOTOR EXPRESS Concord, ON 905-738-2106 bpoe@apexltl.com www.westerncanadaexpress.com WESTMARK FASHION DISTRIBUTION SERVICES (AKA WESTMARK WAREHOUSING) Toronto, ON 416-749-5255 info@westmarkwarehouse.com www.westmarkwarehouse.com WHEELS GROUP OF COMPANIES (WHEELS INTERNATIONAL; WHEELS MSM; WHEELS LOGISTICS) Mississauga, ON 905-602-2700 jgrush@wheelsgroup.com www.wheelsgroup.com XCD LOGISTICS SOLUTIONS LTD. Thornhill, ON 647-669-1257 skopyto@xcdlogistics.com www.xcdlogistics.com XTL LOGISTICS INC. Etobicoke, ON 416-742-3883 craig.germain@xtl.com www.xtl.com

DON’T SEE YOUR COMPANY LISTED? Send a note to Emily Atkins (eatkins@mmdonline.com) to request a sign-up form. Once we have your info we’ll add you to the online directory, and you’ll receive the update reminder next fall. 30

MM&D | March/April 2016

INCREASED DIMENSIONAL CHARGES?

WE CAN HELP 6” x 5” x 5” 0% Empty Space $ 12.91 10” x 8” x 8” 76% Empty Space $ 13.96 14” x 14” x 14” 95% Empty Space $ 24.14

Prices are based on the cost of shipping a 3 lb. package via ground. Actual shipping rates may vary.

LEADING EDGE

Ross Reimer

Ross Reimer has over 30 years of experience in transportation/ supply chain. For the last 15 years he has been president of Reimer Associates, a recruitment firm within supply chain. rreimer@reimer.ca 32

hen I started Reimer Associates, one of the most important things I needed was a database to support the growth of the business and to function as a useful networking tool for the future. To be clear, my skill set certainly doesn’t include database design or the ability to build a functional and scalable recruitment network. So it was time to do some research and find people who could help. It didn’t take long before I found the perfect people to work with. Keith and Warren had a small but growing software development business. What struck me immediately was their ability to speak to me in terms I understood, while obviously being extremely bright and well schooled in the world of software and technology. Even though I asked many “dumb” questions, none was ever met with anything but an intelligent and respectful response. To make a long story short, over the last 18 years the database they built has served us extremely well. Not only has it grown with our needs, but in many cases it has acted as a catalyst for new and efficient ways to work. I couldn’t be happier with the result. As I think back on the process and why I decided to choose KMP Designs, and remain with them through all of the demands of growth, there are four things they brought to the table that remain critical to our joint success. First, they took the time to truly understand my goals within the business and the industry I was venturing into. We met for hours while they asked intelligent and important questions that caused me to think through important issues that would need to be addressed. They sparked my thinking about start-up issues and many other items that would be important several years in. Not only did they fully immerse themselves in the business of recruitment software, they spent enormous time understanding my personal goals for business growth and why I felt it was viable.

Second, they met me exactly where I was in terms of my knowledge of their skills and what would be required to build the database. Admittedly I know very little about their skill sets and yet they never for a moment made me feel like I was uninformed. We’ve probably all experienced working with someone who’s extremely bright, and every few minutes they have an overwhelming need to remind you of what you don’t know. My experience couldn’t have been more different. There was never any judgment —just an overwhelming desire to take my ideas and build software around them. Third, as the business grew and our requirements for the database evolved, they have truly embodied the spirit of “never say never”. Every request we make is met with a thoughtful response and even if at first it seems like it’s complicated or may have some significant issues to work through, there’s always been an attitude of “we will find a way.” Contrast this with some suppliers who have zero flexibility in the way they deal with their customers; you must fit into their plan or you don’t do business with them. What a refreshing experience it’s been to be consistently listened to and have every idea met with “we can do that”. Last, throughout our working relationship over all these years, I’ve continually been treated like a highly valued client. I’m by no means their largest client. In fact as their business has grown I suspect I’m not even in the top 25. That said, every call is answered within a ring or two (by a human being, not a machine), and every request for changes or tweaks to our system is met with “we will get right on it and be back to you soon”. As I built the business I’ve consistently followed widely recognized business leaders who’ve written extensively and have important things to say. I have learned a lot from them. And yet, sometimes it’s worthwhile to look much closer to home and recognize the people we’ve been working with for years who have taught us many things as well. A trusted supplier like KMP Designs has been an enormously valuable part of our business and I’m grateful to have been able to work with Keith and Warren over all these years. Take a close look at your own suppliers; you may have lessons to learn as well. MM&D MM&D | March/April 2016

Photo: StockFinland, iStockphoto

Lessons from a valuable supplier

SURFACE TRANSPORTATION 2016

ummit OCTOBER 13, 2016 NEW LOCATION

INTERNATIONAL CENTRE

Photo credit: Tim Norton

PLEASE PLAN ON JOINING THE COUNTRY’S TOP

TRANSPORTATION & SHIPPING EXECUTIVES SH FOR A DAY OF

EDUCATION & NETWORKING BROUGHT TO YOU BY

LEARNING CURVE

I Tracy Clayson

Tracy Clayson is managing partner, business development of Mississauga, Ontario-based In Transit Personnel. tracy@in-transit.com 34

recently listened to an interview with Jacqueline Carter, the co-writer of One Second Ahead, and a partner at The Potential Project, a company offering organizational psychology services to companies such as Google. It got me seriously thinking about work habits and the damaging effects of information overload in the workplace. When we are at work we are always on. We are bombarded with requests, information and other distractions. It can be exhausting, at times overwhelming, and there never seems to be a good time to push the pause button, shut out the noise and take a deep breath. How can we get out from under this heap of emails, voicemails, deadlines, meetings, conferences, appointments, huddles, reviews and other time-consuming work demands? It’s not easy. Most people spend way too much time and effort just monitoring pop-up reminders, emails, text and voice messages, making sure they don’t fall off the treadmill. Because they keep getting pulled into non-essential or low-priority tasks, they are forced to work later and longer to finish the higher-priority work. It isn’t healthy, and all of this stress is definitively having a negative effect on our productivity. So, what can we change about our work schedules and habits to ﬁnd a balance between work and life? For one thing, you may have noticed that you can sometimes think more clearly and solve more complex problems when you are out of the office. Has a solution to a conundrum ever presented itself while you were running, swimming, cycling or doing an activity that demanded physical endurance? How about when you were doing nothing but staring at your bedroom wall? If so, there’s your proof. The truth is we think we can multitask, and perhaps we can to some extent, but most of us lose focus. When we check our smart phones during meetings, at the very least we become less engaged in the conversation and stop contributing—making the meeting far less effective for everyone and essentially wasting time, not saving it. We know we all can take time to improve our concentration by getting more sleep, doing more exercise, or spending time just being still and quiet. Increased

rest, fitness and an improved diet contribute to better concentration and energy. But how many people have followed through on it? And what about employers? Are they seeing benefits from improved technology and hyper connectivity, or are they creating distracted workforces and contributing to increased levels of disengagement? Anyway, if workers are suffering, they may be doing it quietly. Today, admitting you are burned out is a career-limiting move, akin to conceding defeat. And if your strategy for handling your stressed state is to have a few too many drinks in the evening or to regularly take something to help you sleep, you might want to consider the long-term consequences. Even while the effects of burnout are real, they are not always evident until something unexpected happens. People who get laid off from a job—if they are not hired somewhere else right away—often find they have gained an opportunity to review their situation more clearly than before. And they frequently realize they were more exhausted than they initially thought. Similarly, when you are in the middle of a personal crisis in which a family member has become ill or has just died, the demands of work suddenly take on a surreal tone. The important things in life suddenly come into focus and you may question your career goals. You may ask: am I working myself ragged, but setting myself up for an end goal that will ultimately be unsatisfying? Instead of waiting for a forced interruption from your work life, wouldn’t it be nice if you could proactively introduce short, small breaks over the course of your work day, or work week, and see similar effects? Just ask Google. The firm introduced the Search Inside Yourself (SIY) program to address the quality of life of their employees. The program introduces healthy ways to handle the demands of work. It also helps people see how lifestyle habits can improve once they explore calmer, more centered and balanced ways to think about, feel about and respond to challenges. For more information see: https://siyli.org. But even if your employer doesn’t offer such services, you can access similar ones yourself. You could try meditation or yoga. Enjoying the benefits of having a clear mind, clear thoughts and better results should be a priority. But maybe you just don’t know it yet. MM&D MM&D | March/April 2016

Photo: Lisa-Blue, iStockphoto

Are distractions driving your business?

MATERIALS HANDLING

Dave Luton

Dave Luton is a consultant in the Greater Toronto Area. dluton@cogeco.ca. 36

lot of warehouse automation projects are unsuccessful or only partially successful. While there are a number of reasons for a project failure, often they can be traced to failure to properly consider the “Six Esses” of automation. Q Speed Q Strategy Q Simplicity Q Software Q Sensors Q Startup This is too complex to consider in a single column, so we will show how ignoring them on a large project caused problems. Speed is a rarely mentioned cause of an automation failure but it is often an important underlying factor. In a world of constant change, with the emphasis on “just-in-time’ for everything, insufficient time to properly design, purchase, build, test and commission a project is often a key consideration. When a project failure is audited the need to use shortcuts to meet an impossible schedule is frequently the true root cause of many problems. A well-studied real world example provides a good illustration. One of the more famous examples of automation failure was the attempted startup of a new baggage system at the Denver Airport a couple of decades ago. At the time it was the largest system to be built, by a factor of 10, and it had to be completed up and running in just two years. This was a shorter time frame than was required to commission the largest systems that had been built prior to this one. The short time frame was caused and compounded at the outset by changes in strategy. Initially, each airline would arrange its own baggage handling. This was changed at a late stage to an airport-wide system. While this helped—in theory—because a centralized control would help in system integration, it greatly increased the complexity of the overall system design. Add to that a key design decision that directly affects the simplicity variable of a conveyor system. As any person involved in conveyor systems knows, one of

the key design issues is determining what is conveyable and what is not conveyable. For baggage system designers Denver’s location in the mountains posed a problem that is not (often) encountered in lowland airports such as New Orleans or Toronto. The seasonal problem is called ‘skis’ which can be a pain to convey around curves. For short conveyor systems which operate in a straight line, getting skis conveyed is one thing. Around corners and curves is another matter entirely. This problem was never resolved in Denver. Complicating matters, the building design and construction were done before the material handling system design was finalized. Automated systems are best designed from the inside out. Specifics of the automated system are known before a building structure is finalized around it. Computer systems and software also caused problems in Denver. Successful functioning of the system required advancement of complex queuingsystem mathematical ‘line balancing’ algorithms. However the PC hardware was not capable of handling them at the time. I remember talking to the chief engineer of a large conveyor manufacturer who had NOT bid on the system because he felt his company could not successfully meet the performance variables. He was right. Interestingly enough, a consultant hired by the airport had come to the same conclusion over a year before but their advice was ignored. I would like to emphasize the need in complex automation systems of the time and effort for a successful startup. Some of the steps required include: Q Development of a successful preventive maintenance plan including spare parts supply. Q Development of a proper commissioning program that gradually steps up production in phases. Q Proper training of personnel is essential. Q Finally measuring productivity and determining if the goals are being met. If not, why? In complex systems also remember the risks of vulnerability in the loss of key people or key system components. Redundancy has value. In the Denver airport example the chief customer (i.e. airport) engineer died before the project was completed. His replacement did not have the same degree of project knowledge. MM&D MM&D | March/April 2016

Photo: ariadnaS, iStockphoto

Warehouse automation: Startup considerations

MAXIMIZE IT

Security in 2016 T Kevin Squires

here are many who believe that security will be in the forefront of the corporate mindset in the coming years. This is largely due to the exponentially growing number of devices (and therefore hackable entry points) that are flooding the market as a result of the Internet of Things (IoT) and other factors. One of these factors is the Internet—specifically, the aging of its supporting infrastructure. This is reflected in forgotten and deferred maintenance of the various components since upgrades have become an increasingly expensive problem for defenders. Among them: Alexa 1000 certificates not up to date, old JavaScript versions that are easily compromised, the stream of rapid OS updates and new trends in software end-oflife processes that cause havoc and new applications built on recycled code with old vulnerabilities (recent examples of this are Heartbleed and POODLE.) Ransomware

Kevin is vicepresident, business technology for the Econo-Rack Group of companies (Konstant, Econo-Rack, Technirack). He can be reached at Kevin.Squires@ Konstant.com. 38

According to a report from Intel Corp’s McAfee Labs, cyber attacks are expected to rise significantly in 2016 where malware holds the user data/system “hostage” as hackers focus more on companies and increasingly advanced software is able to target more types of data. “Ransomware” is malicious software that allows a hacker to access a computer, encrypt and freeze sensitive data then demand some form of payment to release it—essentially holding the data or system hostage until the person or company meets the payment demands. A recent example was the hack of Ashley Madison. The McAfee Labs report goes on to state that McAfee Labs researchers saw more than four million samples of ransomware in the second quarter of 2015, including 1.2 million that were new, and expects those instances to grow in 2016. That compares to fewer than 1.5 million total samples in the third quarter 2013, when less than 400,000 were new. Ransomware’s most lucrative target—The Internet of Things (IoT) will become an ever more fertile attack surface for governments, mercenaries, hacktivists and even terrorists. Many IoT devices lack significant memory space or OS capability, so treating them like endpoint agents will fail. Ransomware will gain ground on banking Trojans and extend into smart devices like coffee makers, refrigerators, baby monitors, cars, wearables and medical devices, which are often owned by wealthier and therefore more lucrative targets. Cloud Services

Cybercriminals could target corporate security policies

established to protect cloud services which have become weak, outdated or ignored. The Cloud has become home to an increasing amount of confidential business information and, such services, if exposed, could compromise organizational and individual business unit strategies, portfolio strategies, next generation plans for innovation, financials, acquisition and divestiture plans, sensitive and personal employee data and a host of other areas. This is sure to give even the most optimistic C-suite executives pause when looking at “what if” scenarios. Automobiles

With the increase in automotive wireless systems, researchers will continue to focus on potential exploitation scenarios for systems lacking foundational security capabilities or failing to meet best-practice security policies. Security vendors and the auto companies will work together to identify and develop guidance standards and technical solutions to protect potential entry points such as vehicle access system engine control units (ECUs), engine and transmission ECUs, advanced driver assistance system ECUs, remote key systems, passive keyless entry, USBs, remote link type apps and smartphone access, to name a few. Wearables

As many of you have realized, the age of wearable gadgets is upon us. From fitness trackers to watches, glasses, health aids and more, it is a sector that is growing exponentially. With that growth comes significant security risk since, to be most effective, we have to give these gadgets access to a lot of our personal data. Although most wearable devices store a relatively small amount of personal information, wearable platforms could be targeted by cybercriminals working to compromise the easier target: the smartphone we use to manage them. Ultimately, the key is to be sure that security is thought about and built in from the start and not treated as an afterthought further down the line when risks are already compromising user data and, if used as an entry point, company data. With the continued threat of IT security expected to rise in 2016, the failure of organizations and countries to build up cyber talent will become a huge problem. Demand for information security professionals is expected to grow by 53 percent through 2018. Because of this, many security jobs will be filled by managed security service providers (MSSPs), and the cost will not decrease. MM&D MM&D | March/April 2016

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